YAVNE, ISRAEL -- Orbotech's fourth quarter revenue was up 27.6% to $129.2 million, enhanced by $45.2 million in fourth quarter revenue from recently acquired Photon Dynamics. The net loss for fourth quarter was $101.2 million ($2.98 per share). Fourth quarter losses reflect an impairment charge of $88.0 million related to goodwill associated with the flat panel display business. There was an additional $5.1 million of intangible assets related to the Photon Dynamics Inc. (PDI) acquisition and a $6.5 million write-off for in-process R&D related to that transaction. There was also a $5.1 million charge related to the scaling down of the PCB assembly related operations and a $3.4 million restructuring charge, as part of a cost reduction program.

Revenue for 2008 was $429.5 million, compared with $360.7 million in 2007. Net loss for the year was $135.3 million ($4.04 per share) compared with net profit of $1.5 million ($0.04 per share) in 2007.

Sales of equipment related to the PCB bare board industry was $14.7 million in the fourth quarter of 2008, down 47% compared to $27.7 million sold in the third quarter of 2008 and down over 70% compared to $50.0 million in sales for the fourth quarter 2007.

During the first quarter of 2009 Orbotech signed an agreement for the sale of its PCB assembly business in Europe and the Americas to Orpro Services s.r.l. of Italy. Orbotech plans to continue to support and service its installed base of PCB assembly systems in the Asia Pacific region.

Orbotech expects to realize cost savings of $65 million to $70 million in 2009 through cost cutting and synergies related to the PDI acquisition, while the costs associated with these savings are reflected in the restructuring charges recorded in 2008.

• Prev
• Next